Tesla Earns $7.5 Billion in One Day

This week, people lined up around the country or online to preorder Tesla’s new Model 3 car, placing $1,000 deposits on the vehicle. Preorders became available on Thursday, and in the 24 hours since then, the company has received more than 200,000 orders for the Model 3. That means Tesla will make that many cars and at about $42,000 per car, the profits are incredible.

The Model 3 comes with a base price of $35,000, making it Tesla’s most affordable offering and provides a nice offering for car shoppers on a budget. Versions of the car with more bells and whistles are to follow with higher price tags to attract more customers who can’t afford their pricier Roadsters, which click in at about $101,000.

As of this morning, Tesla’s shares were up by 7% after the sale began. The new vehicles should be available starting in late 2017, though previous auto sales have fallen behind by several months. Adam Jonas of Morgan Stanley predicts that the Model 3 will also arrive late, suggesting that Tesla won’t sell 249,000 cars until about 2020, though the company hopes to sell 500,000.

This time last year, Tesla’s shares hit a low mark of $141.05; they’re currently sitting at a comfortable $230 a piece, a number subject to change based on how many more vehicles Tesla sells—and how many potential buyers will actually keep their bid for a Model 3. It’s worth noting that deposits for the car are entirely refundable, meaning that sale expectations are indeed likely to change.

GM is currently on track to defeat Tesla’s numbers with a Chevrolet Bolt electric car, launching later this year, which will offer about 200 miles of electric driving range. That car will also cost about $35,000, making it potentially a very fierce competitor for the Model 3.